Taxation is the system by which a government or other authority levies fees on its citizens, businesses and other entities under its jurisdiction. These fees are typically incurred without the direct exchange of goods or services by those paying them. Taxation is one of the primary sources of revenue for governments and other authorities, as it allows them to fund their operations and provide for the public good.

Taxes are typically categorized by their type, including income, corporate, capital gains, property, inheritance, and sales taxes. All types of taxation are typically progressive, meaning that they increase as the wealth and income of those paying the taxes increases. Generally, those with greater resources are expected and obligated to pay a higher percentage of those resources in taxes. Some of these taxes are also regressive, meaning that the rate of taxation decreases as income decreases.

Income taxes, usually levied by governments, are a percentage of a person's income or earnings over a period of time. Taxes on corporate income are typically focused on businesses that operate in a particular jurisdiction; they are usually a flat rate, regardless of the business's size or profits. Capital gains taxes are a percentage of profits made on financial assets such as stocks and bonds, and are mainly paid by the wealthy. Property taxes are a percentage of the value of the property being taxed, and are typically paid to local governments. Inheritance taxes are taxes paid upon the transfer of assets upon death. Sales taxes are typically levied by local, state, or provincial governments, and are usually a percentage of the price of goods and services.

Taxes are a critical and necessary part of any society. They provide the funds necessary for social services, infrastructure, public programs, and other forms of expenditure. At the same time, they are a form of fundamental, involuntary servitude – they allow those who pay them to enjoy the benefits of a safe and prosperous society and economy. The notion of taxation without representation – that taxes should only be paid with consent from citizens to organizations or leadership with which they have a voice and a mutual understanding – is one of the foundational principles of many democracies.